CecilGroup_Northampton_housing_Oct7_2013C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
WELCOME TO OUR
COMMUNITY FORUM
SPONSORED BY THE CITY OF NORTHAMPTON AND THE HOUSING TRUST
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Agenda
•Introduction by the Mayor
•Introduction by the Sponsors
•Desirable Development Styles
•Regional Market Review
•Approaches in Other City Markets
•Local Success Stories
•Opportunities in Northampton
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Purposes of Today’s Meeting
• Educate and Inform
• Adjust Perceptions
•Encourage Redevelopment Meeting City
Goals
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Ken Buckland :: THE CECIL GROUP
Panel Leader
Background:
•Sustainable Northampton
•40B Design Guidelines
•Housing and Mixed Use
Planning and Construction
Projects
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Bob Salisbury :: BONZ AND COMPANY
Market Overview
Background:
•Director and Principal: feasibility,
valuations, development
strategies, financial analysis
•Innovative Housing, San Francisco
•The Community Builders
•Peer-certified Affordable Housing
Analyst
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Dave Chilinski :: PRELLWITZ CHILINSKI ASSOC.
Approaches to Redevelopment
Background:
•Solutions for commercial,
retail, housing and institutions
•Extensive experience outside
the region; registered in 17
states
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Dave Williams :: ARCHIPELAGO INVESTMENTS
Local Development
Background:
•Real Estate Advisory Services
•Local Developer
•Transit Oriented Development,
Student Housing, Downtown
Revitalization, Brownfields,
Residential; Commercial;
Industrial
•Offices in Amherst and CT
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
LET’S GET STARTED!
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Ken Buckland :: THE CECIL GROUP
Topics
•Desirable development types
appropriate to Northampton
•Overview of three
development sites
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Residential density through varied unit types
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Large building masses broken down with bays,
gables, windows, entryways, etc.
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Visually interesting, pedestrian-scaled buildings
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Active ground-floor street facades
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Bob Salisbury :: BONZ AND COMPANY
Regional Market Overview
•Employment trends
•Demographic trends
•Housing trends (ownership,
rental)
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Employment Trends
•Little to no job growth in Springfield NECTA
region for 2013
•Region has relatively high unemployment
rate, compared to eastern region, State, New
England, and the US
•Springfield NECTA and Amherst micro NECTA
have highest unemployment rates in the
State NECTA = New England City and Town Area
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Employment Trends, continued
•Massachusetts added 52,500 jobs in the
latest 12-month period
•Springfield NECTA lost 4,500 jobs during
same period
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Regional Demographic Trends
•Springfield MSA lags other areas in
population growth (number of households)
•Springfield MSA exhibits comparatively lower
income levels than balance of State
•Income discrepancy is projected to increase
through 2017
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Year Northampton Hampshire Hampden Northampton Hampshire Hampden
2012 $275,000 $235,000 $158,079 $173,000 $175,000 $120,000
2011 $250,000 $235,000 $158,950 $178,500 $177,000 $130,000
2010 $255,000 $233,500 $169,000 $187,250 $184,500 $140,000
2009 $256,500 $235,000 $170,000 $170,600 $178,000 $141,900
2008 $250,000 $240,000 $178,000 $201,200 $183,000 $145,000
2007 $277,125 $260,000 $190,000 $192,250 $195,250 $147,500
2006 $275,000 $255,000 $187,800 $195,000 $205,000 $134,500
2005 $299,000 $259,000 $180,000 $199,000 $186,500 $125,900
2004 $242,500 $230,000 $163,000 $153,950 $155,500 $110,000
2003 $221,000 $199,000 $148,900 $122,750 $121,500 $98,000
2002 $192,500 $175,000 $134,000 $115,000 $116,000 $94,900
2001 $174,500 $158,900 $124,000 $97,000 $97,000 $84,000
2000 $160,000 $150,650 $115,000 $125,000 $109,000 $84,250
The Warren Group
Single Family Unit Condominium
$100,000
$150,000
$200,000
$250,000
$300,000
$350,000
2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000
Northampton Hampshire Hampden
For Sale Housing Trends
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Rental Market Area
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013 AVG AVG
2Q13 1Q13 YTD AVG 2012 2Q13 1Q13 YTD AVG 2012
Submarket 0.3% 0.9% 0.6% 2.6% 2.2% 2.2% 2.2% 2.3%
Northeast 0.7% 0.4% 0.5% 1.4% 3.2% 3.3% 3.2% 3.5%
U.S.A. 0.6% 0.5% 0.6% 1.9% 4.3% 4.4% 4.4% 4.9%
Reis, Inc.
Asking Rent Growth Vacancy Rate
Quarterly Quarterly
1.5%
2.0%
2.5%
3.0%
3.5%
4.0%
4.5%
5.0%
5.5%
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
2012 YTD AVG 1Q13 2Q13 Vacancy RateAsking Rent GrowthSubmarket Northeast U.S.A.
Submarket Northeast U.S.A.
Regional Comparative Rental Data
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013 Year Quarter Asking Rent Vacancy Rate
2008 $875 3.4%
2009 $880 4.9%
2010 $894 3.1%
2011 $918 2.5%
2012 $942 2.2%
2013 1 $950 2.2%
2013 2 $953 2.2%
Reis, Inc.
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
$820
$840
$860
$880
$900
$920
$940
$960
2008 2009 2010 2011 2012 1Q13 2Q13
Asking Rent Vacancy Rate
Submarket Rent and Vacancy Trends
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Market Area Rental Comparables
•No Studio Comparables
•Generally Strong Occupancy
•Five Properties Often Reporting at 99% or
Better
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Dave Chilinski :: PRELLWITZ CHILINSKI ASSOC.
Urban Infill Redevelopment
•Boston region
•Adaptive reuse
•New construction
•Solutions to redevelopment
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Architecture
Interiors
Planning
PRELLWITZ CHILINSKI ASSOCIATES
We believe in creating great places for people
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Rumford Mills :: Adaptive Reuse, East Providence, RI
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
The Edge, Allston :: Allston Green District
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
The Icon, Allston :: Allston Green District
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Dave Williams :: ARCHIPELAGO INVESTMENTS
The Local Scene
•Current projects
•What makes them successful
•Development process
recommendations
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Current projects in Amherst
•Boltwood Place Mixed-
Use Development
•Olympia Place, student
apts., UMass (2014)
•Kendrick Place,
downtown Amherst
(2014)
•CART Place, mixed-use
(2015)
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Luxury student housing
in downtown Amherst
•3 blocks from Amherst College
•3 blocks from Umass
•LEED-certified
•Mixed-use infill
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Development Process for a Mixed-use Community
•90-day analysis of location and proposal
•Initial site due diligence
–Planning and Building Depts, Public Works, State
•Initial professional consulting team
–Site analysis, devt. timeframe, architecture, market analysis,
proforma
•Feasibility action plan
–Funding potential, demog. target area, timeline
•Public / private partnerships
–Due diligence assessment of potential developers, public/private
partnership team
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
The Williams Group :: Real Estate Advisors
•Highest and best use analysis
•Development feasibility, market and financial
analysis
•Brownfields and industrial re-use and
industry targeting
•TOD real estate programming
•Downtown revitalization and economic
development analysis
•Mixed-use residential and retail
programming
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
PROTOTYPE DEVELOPMENT SITES
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
OPPORTUNITY SITES: FOCUS AREA
NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
OPPORTUNITY SITES: LOCATIONS
1
2
3
NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Pleasant Street at Wright Avenue
1
NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
1
NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013 NORTH Abuts historic Mill
River (small stream,
underground through
site), 50’ riparian
buffer required
STREAM AS SHOWN IN GOOGLE MAPS
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Pleasant Street at
Wright Avenue
•5,000 square feet
•Portion of parcel
32C-307 and portion
of road ROW; both
will soon be City-
owned
•First time on market
•Half mile from City
center
•Zoned General
Business
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Goals and Parameters
•Dense development
as gateway to
downtown, extending
the urban core south
•Zoning allows 0’
setback, requires 1st
floor commercial,
allows upper-level
housing
•50’ riparian setback
•Area north of stream
envisioned as a park
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Reversing the Sequence
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Pleasant Street at Holyoke Street, NE side
2
NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013 NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Pleasant at Holyoke
•53,650 SF
•Two parcels
•Zoned Central
Business
•Lumber co. closing;
parcels under
deposit to Valley
CDC for affordable
housing
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Goals and Parameters
•Zoning allows 0’
setback, 70’ max
height, requires
commercial on first
floor, housing
allowed above
•City wants urban
density and mixed
incomes
•Extend urban core
fabric south
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Redevelopment Concept
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Redevelopment Concept
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Bridge Street at Pomeroy, SW corner
3
NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013 NORTH
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Bridge Street at
Pomeroy Terrace
•28,300 SF
•Vacant SRO and
multi-family
homes
•Zoned Urban
Residential C
•On deposit to a
buyer
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Goals and Parameters
•Neighbors open to
density, housing, but
traffic concerns
•Zoning focused on
housing; but allows
offices on first floor
•City open to
“friendly” 40B
•Need attractive,
continuous façades
on Bridge Street
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
Redevelopment Concept
C R E AT I N G N E W H O U S I N G O P P O R T U N I T I E S I N N O R T H A M P TO N 7 OCTOBER 2013
OTHER OPPORTUNITIES
AND CHALLENGES